Buy vs. Lease

Buy or Lease in South Florida Learn About Your Options

Need help determining whether buying or leasing your car will better fit
your lifestyle? No problem! We put together this comprehensive chart to
make it easy for you to compare the two in any situation.

Monthly Payments

BuyingWhen
financing a vehicle, your payments are calculated off total
purchase price. Payment value over a 6-7 year loan is typically more
than a lease payment.

LeasingThe
Lease Value in which your payment is determined is lower than an
amount that would be traditionally if financed. Depending on your credit
and lease program, Lease payments are commonly lower than Loan
payments.

Up-Front Costs

BuyingUp-Front
Costs include a down payment, taxes, registration and other
fees. Most customers put 20% down upfront to lower payment, but it is
not mandatory. In some cases Financing Bank may require a down payment
to allow you to finance vehicle. Get pre-qualified today for more
details.

LeasingUp-Front
Costs include a down payment, taxes, registration and other
fees. Most customers decide to pay these fees upfront to lower payment,
but it is not mandatory. In some cases Leasing Bank may require a down
payment to allow you to lease vehicle. Get pre-qualified today for more
details.

Customizing

BuyingSince
the vehicle is yours, you can customize it however you would like.
(i.e. adding a lift kit to truck, custom sound system, etc...)

LeasingWhen
you Lease, you have some limitations to customization you can make
on vehicle since you are technically not the owner (leasing bank is
owner). In modifying certain items on vehicle that could run risk of
voiding warranty… it is always best to check with Lessor before making
customizations.

Mileage

BuyingBuying
a vehicle means you have no limit of how many miles you may drive.

LeasingIn
lease agreements you are limited to mileage you can put on vehicle.
Most mileage terms are between 10,000-15,000 mile per year maybe more
(check with Dealership for exact mileage terms available). You may have
to pay over mileage fees if you exceed contract terms; it is always best
to see dealer & discuss options if you think you might come
close
to exceeding miles within lease contract.

End Of Term

BuyingAfter
paying off vehicle loan, you own vehicle. Some customers enjoy
owning a vehicle with no payments after loan is paid off. Owners may
want to consider cost of ownership on older vehicles vs. payment on a
replacement vehicle. (In some cases new vehicle payment can be less than
cost of maintenance and repairs of existing vehicle with no monthly
payment).

LeasingAt End
of Lease although you do not own vehicle, you have options. You
can buy out vehicle or turn vehicle in back to leasing bank. Sometime
Manufacture will encourage you to turn lease in early and lease again
with special promotions. There are Lease Return processes that need to
be followed, see dealer for details.

Early Termination Of Loan Or Lease

BuyingYou
have the options to sell/trade your vehicle at anytime. However,
depending on the value of your vehicle and total depreciation, it is
best to see dealer to value your trade when considering buying a
replacement vehicle.

LeasingIn a
situation where you want to terminate your lease early, you may
inure an early-termination fee. We encourage you to visit the dealership
to discuss the possibility of avoiding these types of fees.

Ownership

BuyingAfter
paying the vehicle off you own the vehicle, receive the title and get
to keep it for as long as you want.

LeasingTechnically
you are not the owner of your leased vehicle at the end of
your contract term. However you do have the option to buy your vehicle
based on guaranteed value written in your lease contract.

Vehicle Return

BuyingWhen
replacing your vehicle, you choose whom or where you sell/trade your
vehicle.

LeasingAt end
of lease you have options to review. You can turn in vehicle
& walk away. You can purchase your vehicle. In some cases the
dealership may buy vehicle for dealer inventory. (please note: vehicle
under goes an inspection to determine if any excess wear and term
charges will be incurred, see Lease turn in for more details)

Future Value

BuyingDepending
on Market Value, most vehicles depreciate over time.

LeasingIf you
choose at end of lease to turn in vehicle and walk away, leasing
bank is responsible for depreciated value. On the flip side, if you
decide to purchase vehicle at end of lease, the future value at which
you can buy vehicle for is stated in Lease contract the day you lease.

Wear And Tear

BuyingExcess
Wear and Tear will decrease the value of any vehicle when you go to
sell or trade in.

LeasingIt is
possible that you incur Excess Wear and Tear charges. Lease
vehicle under goes an inspection to determine if there are any excess
wear and term charges, see Lease turn in for more details. You also have
option to purchase coverage plan to cover excess wear and tear; see
dealership for all options.